Bakkt Holdings, Inc. (BKKT) recently reported its fourth-quarter financial results, revealing some key highlights for investors to take note of. The company reported quarterly losses of 29 cents per share, missing the analyst consensus estimate of 13 cents per share by a significant margin of 123.08%. Additionally, quarterly sales came in at $15.1 million, slightly below the analyst consensus estimate of $15.25 million and showing a 3.21% decrease from the previous year’s sales of $15.60 million.
Despite these numbers, incoming president and CEO Andy Main expressed confidence in the company’s future prospects, stating that Bakkt has built a strong foundation and is well-positioned to commercialize its platform and scale its business in the coming year. Main outlined strategic initiatives for 2024, including broadening the client network, expanding the product set, and managing expenses prudently to drive the company towards profitability.
Looking ahead, Bakkt provided revenue guidance for full-year 2024, expecting revenues in the range of $3.292 billion to $5.114 billion. This includes gross crypto revenues of $3.239 billion to $5.057 billion and net loyalty revenues of $53 million to $57 million. The company also anticipates a decline in operating cash flow usage for fiscal year 2024, projecting a decrease of approximately 70% year-over-year to between $58 million and $72 million.
With a newly strengthened balance sheet and improved market conditions in the crypto industry, Bakkt is optimistic about the opportunities in 2024 to execute on its key priorities and drive the company towards profitability. Investors will be watching closely to see how Bakkt navigates the challenges and opportunities in the evolving crypto landscape.
In after-hours trading, Bakkt shares were up 11.15% at 56 cents at the time of the publication of the financial results. It will be interesting to see how the market reacts to Bakkt’s performance and outlook in the days and weeks ahead.
Overall, Bakkt’s fourth-quarter financial results paint a mixed picture, but the company’s leadership remains confident in its ability to capitalize on future opportunities and drive growth in the coming year. Investors will be keeping a close eye on Bakkt as it navigates the ever-changing crypto landscape and works towards achieving profitability.
